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Lend America receives approval for Ginnie Mae issuer statusMortgagePress.comLend America, Ginnie Mae, mortgage-backed securities, FHA lender
Lend America, a privately-owned direct-to-consumer residential
mortgage lender with a core focus on originating government-insured
loans, announced that it has received approval to issue Government
National Mortgage Association (Ginnie Mae) mortgage-backed
securities (MBS). A Ginnie Mae security, which is a bundle of
mortgages sold to investors and backed by the federal government,
offers additional safety and liquidity and a higher yield over
traditional treasury bonds, making them the most popular
mortgage-backed security among investors.
"As one of America's leading FHA lenders, we are very proud to
become a Ginnie Mae approved issuer," commented Helene Decillis,
chief operating officer for Lend America. "Not only does this
approval affirm the quality and strength of Lend America's
business, but it allows us to obtain better prices for our
mortgages in the secondary market; thereby funding our ability to
create additional loans to qualified, potential homeowners with
more competitive terms."
In order to become a qualified Ginnie Mae issuer, Lend America
had to undergo a rigorous screening process to determine its
suitability, specifically requiring the Company be an approved FHA
mortgagee in good standing and possessing demonstrable experience
and management capacity in underwriting, originating, and servicing
mortgage loans.
To maintain Ginnie Mae Issuer status, Lend America must submit
annual and quarterly financial reports to demonstrate its continued
financial stability, as well as meet several other
requirements.
"Almost three years ago, Lend America shifted its product mix
away from sub-prime originations to focus primarily on FHA lending
and is experiencing significant growth," added Decillis. "By
acquiring Ginnie Mae's approval to issue mortgage-backed
securities, Lend America is now in position to be a part of the
solution for those borrowers who may have credit issues but are
still qualified in this deteriorating credit and economic
environment and drive continued profitable growth."
For more information, visit www.lendamerica.com.